Should we wait and see how much further the euro-dollar pair can rise after rebounding for the first time in a week?
28.03.2025
- Japan/Tokyo Consumer Price Index
- University of Michigan Consumer Sentiment Index
In yesterday’s U.S. trading session, the Canadian dollar rose against the yen. The CAD/JPY pair climbed from 105.010 to 105.810. Price action was seen moving across the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, after breaking through the resistance line formed by the 200-period simple moving average (SMA), the upward trend has continued along the 20-period MA. Since the daily chart has hit a new high for the month, we should keep an eye on the upside potential for the Canadian dollar during U.S. trading hours.
Among European currencies, the euro rebounded against the U.S. dollar for the first time in seven days. The EUR/USD pair rose from 1.0733 to 1.0821. On the hourly chart, the price has moved from below the 20-period moving average (MA) to above it. On the 4-hour chart, the price has rebounded from the -3σ line of the Bollinger Bands, and on the daily chart, it appears to have completed a retest of the 200-period simple moving average (SMA) and is back on an upward trend. We will monitor the euro’s upside potential during U.S. trading hours.
Today’s economic indicators include the Japan Tokyo CPI at 8:30, the UK trade balance, UK real GDP, UK current account balance, and UK retail sales at 16:00, the Germany GfK consumer confidence index at 16:00, and the GermanyEmployment Report, at 19:00 the Eurozone Consumer Confidence Index, at 21:30 Canada’s Real GDP, U.S. Personal Income, and U.S. PCE Deflator, at 23:00 the U.S. University of Michigan Consumer Sentiment Index, and at 25:15 remarks by Fed Chair Berne. We want to carefully assess the upside potential for the euro/dollar pair, which rebounded for the first time in a week.
Author: Keisuke Sakurai
